Savannah morning news. [volume] (Savannah) 1868-1887, 1887-03-12
ANEW DEAL ON THE TAPIS
THE TERMINAL PEOPLE FAIL
10 COME TO TIME.

Gould and Garrett Each to Have Fin
ger In the Pie Now In the Oven-Pri-
vate Bankers Said to be the Principal
Parties in the New Syndicate.
New YORK. March 1.-THE negotia-
tions between President Garrett and the
Richmond Terminal Company have fallen
through and the deal Is off. A new propo-
sition is now being considered by Mr..
Garrett, and negotiations are now on foot
for transfer Of the control of the Balti-
more and Ohio to a syndicate Of private
bankers. The arrangement for the pur-
chase of the control by private syndi-
cate, in which President Garrett will
have an interest, contemplates placing
the stock la collateral trust
for the new company and issuing
bonds secured by this trust to the amount
of $10,000,000. These bonds are TO be
taken as part payment for the stock.
The new company will issue $4,000, 900
in stock, and the holders of outstanding
Baltimore and Ohio stock will receive
three shares OF the new stock for one
share OF the old. The new stock will be
listed on uheNew York Stock Exchange on
the present basis of earnings, and will re-
ceive dividends at the rate of per cent.
per annum. The express business, par
lor cars and telegraph lines will be sold
at the best opportunity, but until that Is
done will be operated as heretofore,
Some of the difficulties in the way of the
deal are said to be the Staten Island con-
tracts and the attitude OF the Pennsylva-
MIA Railroad Company.
ONE OF THE SYNDICATE's STATEMENT.
The following statement is made by one
of the syndicate (which Is about to acquire
control of the Baltimore and Ohio:
president Garrett has granted an extern
sion of time in which to take up ma
j0rlty OF the stock, and he will not hold
out on technicalities, either regarding
the exact terms or time. There 10 no
option given to any one person, but a
written agreement Is in this city giving u
certain party a right to BUY the stock, and
this party, although not mentioned in the
contract, is clearly understood by both
Mr.. Garrett and the parties conducting
the negotiations. The price is not more
than 200, but whether it is less or not i
will not say.
BOTH GOULD AND GARRETT,
"Mr. Garrett will be represented in the
syndicate, and Mr.. Gould will also be
represented there. The sale of the prop
erty, when eliminated, will bring about
a settlement OF the question of entering
New York city, and the telegraph and
express lines will be sold. Mr.. Sully has
the same interest as before in the
syndicate, and all the interests are work
ing in harmony. The negotiations re-
ferring to the sale OF the Richmond TermI-
nal failed on account OF the refusal OF the
Executive Committee yesterday to con-
sent to the issue of the additional stock
necessary. The stock will be paid for in
each, which will either be subscribed
at once by the syndicate or loaned by the
First National Bank, Drexel, Morgan 81
Co., or Winslow, Lapier & Co., VINO will
issue negotiable certificates for 1t. The
probability at present, however, is that
the necessary cash will be subscribed.
The formation of a new company Is not
mately be sold TO The Richmond Terminal
Co., but at higher price than that paid
by the syndicate"
FAILURE DENIED.
BALTIMORE. March ia private dis
patch received in this city this afternoon
from New York SAYS: "The deal is not of
and it will be econsummated."
The following has just Deen issued from
the Baltimore and OAi0 railroad office:
"Mr. Garretts attention was called to
newspaper reports regarding the proposed
railway arrangements. He refused to
talk further upon the subject, but said
whatever arrangements were made would
commend themselves to the community
OF Baltimore and be recognized as protect
i've, wise and valuable to all the interests